We have encountered record-low mortgage rates over the course of the last year, but now the rates are starting to increase. U.S. long-term mortgage rates rose this week but remain at historic lows as our nation recovers from the effects of the pandemic. We are about to enter into a strong spring sales season, so let’s look into what exactly this means for you!
Freddie Mac has reported that, “For the first time since last July, mortgage rates are over 3% (3.02%).” This bump in rate should not be a surprise though, as many expert’s have projected a slight increase as we progress through the year. If you are determined to enter the real estate market, don’t let this increase deter your decision! We can remain hopeful about the rise of interest rates, given that experts have stated:
“Though 3.02% is not as great as the sub-3% rates we saw over the previous seven weeks, it’s still very close to the all-time low (2.66%).”
The record-low lending rates have helped push buyers into the housing market. The demand for new homes has even surged 4.3% in January, which confirms that the housing market is remaining extremely strong as we move forward.
Today’s rates are truly outstanding compared to mortgage rates of the last few decades! If you are looking to purchase a home, you will still receive an outstanding rate that has been historically lower than rates recorded in the last few decades. Connect with a Seven Gables Advisor today to learn more about what these mortgage rates will mean for you while purchasing your dream home!